Glossary

This section is an evolving work in process.

Compilation of regularly used terms and phrases in BASIN. Third-party sources are in italics as applicable.

0

0xSplits

0xSplits or Splits is a decentralized protocol utilizing Ethereum blockchain smart contracts (EVM) to automate the splitting of on-chain income among multiple recipients. It enables trustless, composable, and fee-less (apart from gas costs) distribution of funds according to predefined ratios. Designed for versatility, 0xSplits can be used for various purposes, including revenue sharing among project contributors, community fund management, and more. The protocol is open-source, audited, non-upgradeable, ensuring reliability and permanence as a foundational infrastructure for decentralized finance (DeFi) applications.

3

30x30 (30 by 30)

The "30x30" initiative, also known as "30 by 30," is a global conservation goal that aims to protect at least 30% of the world's land and oceans by the year 2030. This initiative recognizes the critical importance of preserving natural habitats and biodiversity to address environmental challenges such as climate change, habitat loss, and species extinction. By setting aside 30% of the Earth's land and oceans as protected areas or conservation zones, the 30x30 initiative seeks to promote ecosystem resilience, safeguard endangered species, and maintain the health of vital ecosystems. This goal aligns with broader conservation and sustainability efforts to ensure the long-term well-being of both humanity and the planet. Related: Half Earth

A

Aave

Aave is a decentralized finance (DeFi) protocol operating on Ethereum that enables users to lend, borrow, and earn interest on cryptocurrencies. It eliminates traditional financial intermediaries, allowing users to deposit assets into liquidity pools for lending and borrowers to access loans with collateral. Aave has introduced innovations like flash loans and employs its native cryptocurrency, AAVE, for governance and collateral. It plays a key role in the growth of DeFi by providing efficient and accessible cryptocurrency lending and borrowing services.

Adaptive Capacity

Adaptive capacity refers to the ability of societies, ecosystems, and individuals to respond effectively to the impacts of environmental changes, including those related to climate change and biodiversity loss. In the context of IPBES (Intergovernmental Science-Policy Platform on Biodiversity and Ecosystem Services) and IPCC (Intergovernmental Panel on Climate Change), adaptive capacity is a crucial concept for assessing and addressing the challenges posed by environmental changes.

Additionality

Additionality is a fundamental concept in environmental and conservation contexts, serving as a criterion to assess the true impact of initiatives and projects. In the realm of carbon offsetting, it scrutinizes whether emission reductions or removals achieved are genuinely additional to what would have naturally occurred or been legally required, ensuring the legitimacy of carbon credits. Similarly, in biodiversity conservation, it evaluates whether conservation actions result in a net increase in biodiversity compared to a no-intervention scenario, safeguarding the integrity of conservation efforts. Conservation finance also relies on additionality to confirm that investments lead to heightened conservation activities beyond the status quo. This concept plays a pivotal role in verifying the effectiveness of environmental endeavors, preventing double-counting of benefits, and directing resources toward meaningful solutions to environmental challenges.

Area of influence

The project area of influence is generally larger than the physical footprint of the project, and includes the area within which a project may potentially directly, indirectly, and cumulatively cause impacts to nature. TNFD; IFC

Atmosphere

Atmosphere includes the gaseous medium and its suspended particulate liquids and solids above the land realm, extending to the altitudinal limits of life. TNFD

B

Baseline

Starting point or benchmark against which changes in the state of nature attributed to your business activities can be compared. TNFD; Natural Capital Protocol

basinDAO

After the Core Benefits Label Climate Sprint in the fall 2021, a small group formed a DAO called CMPND. CMPND was established to apply the CBL to assessing and developing climate projects as a venture studio. Realizing this was too general, CMPND was renamed basinDAO. basinDAO was the first iteration of what is now the BASIN Protocol. While we no longer use the term DAO, BASIN is similar to a DAO in that it is a polycentric organization operated by its members.

Biocomplexity

A multidisciplinary field that examines the intricate interactions and emergent properties among biological, ecological, social, and technological systems. Biocomplexity studies the dynamics and nonlinear relationships within and between various levels of biological organization, from genetic diversity within species to ecosystem diversity across landscapes. It emphasizes the interconnectedness and interdependence of life and environments, aiming to understand the resilience, adaptability, and sustainability of living systems in the face of ecological, environmental, and societal challenges. This field underlines the critical importance of holistic approaches in conservation, restoration, and sustainable management practices. Related: SEED Biocomplexity

Biocredit

a concept used to quantify and trade the ecological benefits or credits generated by conservation projects or initiatives aimed at preserving biodiversity and ecosystem services. These credits represent the positive impacts of such projects on biodiversity, habitat protection, or ecosystem restoration. Biocredits can be bought and sold as a mechanism to support conservation efforts, similar to carbon credits in the context of carbon offsetting. They encourage investment in conservation and sustainable land management practices, helping to safeguard biodiversity and promote ecological sustainability.

Biodiversity

The Convention on Biological Diversity (CBD) definition is: "The variability among living organisms from all sources, including, inter alia, terrestrial, marine and other aquatic ecosystems and the ecological complexes of which they are part; this includes diversity within species, between species and of ecosystems." BASIN emphasizes that this definition includes not just the diversity within and between species, but also extends to the diverse ecological roles and interactions within the ecosystems, incorporating both biotic (living) and abiotic (non-living) components. BASIN places particular emphasis on the ecosystems themselves and the complex interrelationships, recognizing that organisms and species cannot exist in isolation from the ecosystems and habitat that sustain them. TNFD; BASIN

Biodiversity Credit

A biodiversity credit is a tradable unit representing a quantifiable and verified conservation or enhancement of biodiversity in a specific area. Biodiversity credits are part of market-based mechanisms designed to promote biodiversity conservation and offset the negative impacts of development or land use changes. These credits are generated through activities such as habitat restoration, species protection, or land preservation and can be bought and sold to compensate for biodiversity losses in other locations, providing a financial incentive for conservation efforts. Biodiversity credits aim to balance economic development with biodiversity preservation and are often used in regulatory frameworks like biodiversity offset programs.

Biodiversity Net Gain

a conservation approach and policy framework applied to development and land-use planning. This concept mandates that development projects must not only avoid harming biodiversity but also result in a quantifiable increase in biodiversity and habitat quality compared to the pre-development state. Under this principle, developers and landowners are required to assess the biodiversity value of a site before commencing any development activities. Subsequently, they must implement measures to enhance or restore biodiversity, often through activities such as habitat creation and native vegetation planting. Biodiversity net gain aligns with environmental objectives, recognizing the crucial role of biodiversity in maintaining ecosystem health and resilience while promoting sustainable economic development.

Biodiversity Offset

a conservation or restoration action taken to compensate for the adverse impacts on biodiversity resulting from development or land use changes in one location. The purpose of a biodiversity offset is to achieve "no net loss" or even a "net gain" of biodiversity by ensuring that the negative effects of a project on ecosystems, species, or habitats are balanced by conservation efforts elsewhere. Biodiversity offsets typically involve the restoration, protection, or creation of habitats or ecosystems of similar ecological value to those affected by development. These offset measures aim to contribute to the overall conservation and sustainable management of biodiversity. Biodiversity offsets are often required by regulatory authorities to mitigate the environmental impact of development projects.

Biome

Global-scale zones, generally defined by the type of plant life that they support in response to average rainfall and temperature patterns e.g., tundra, coral reefs or savannas. TNFD; IPBES

Bundling

Bundling involves grouping multiple ecosystem services or benefits together into a unified package for valuation or compensation. This approach acknowledges the interconnectedness of different ecosystem services and assesses their collective value, rather than evaluating each service separately. Bundling recognizes the combined benefits provided by ecosystems and is used to support comprehensive ecosystem valuation and management. Bundling Example: Instead of valuing flood regulation, water purification, and habitat separately, a wetland ecosystem's combined benefits are assessed and compensated as a single package. Related: Stacking

C

Climate Adaptation

Climate Adaptation is the process of adjusting to and preparing for the impacts of climate change. It involves developing strategies and implementing measures to reduce the vulnerability of individuals, communities, ecosystems, and infrastructure to climate-related risks. Climate adaptation aims to enhance resilience and ensure that societies can effectively respond to and recover from the changing climate. Adaptation efforts may include building resilient infrastructure, protecting natural ecosystems, implementing water management practices, and developing early warning systems to mitigate the impacts of extreme weather events and other climate-related challenges.

Climate Finance

Climate Finance is the allocation of financial resources, investments, and funding mechanisms to support climate change mitigation and adaptation efforts at local, national, and global levels. It encompasses a diverse array of financial instruments, including public funds, private investments, grants, loans, and market-based mechanisms like carbon trading. Climate finance aims to address the challenges posed by climate change by funding projects and initiatives that reduce greenhouse gas emissions, enhance climate resilience, and facilitate the transition to a low-carbon and climate-resilient economy. It plays a critical role in supporting developing countries in their efforts to combat climate change and fulfill their climate-related commitments under international agreements such as the Paris Agreement. Climate finance is instrumental in advancing climate action and facilitating the transformation towards a more sustainable and climate-resilient future.

Climate Lease

Developed by Thomas Morgan, CCIM, the Climate Lease introduces a financial strategy from investment real estate to environmental conservation, leading to the innovation of Ecological Ensurance. The climate lease, which has also been referred to as biodiversity lease, habitat lease, carbon lease, net zero lease, nature lease, conservation lease, and resilience lease, borrows from the global commercial real estate market the financial model that utilizes leasing instead of owning to enhance capital efficiency and minimize opportunity costs for conservation funders and entities dependent on ecosystem services. By leasing environmental assets funders can invest more projects, achieving better overall returns than if they were to allocate capital towards owning these assets. This leasing model provides the benefits of environmental stewardship without the upfront cost and financial burdens of ownership, encouraging investment in conservation. Ecological Ensurance is a derivative model of this that calculates the residual value of the real estate at zero which allows the land/property/ecosystem to go into permanent trust. Payments made under these long-term leases motivate real asset and income investors to support environmental projects, as they get market rate yields while knowing the land will ultimately be preserved in a trust. This ensures permanent protection for the leased ecosystems, offering a sustainable model for combining economic and environmental goals.

Climate Mitigation

Climate Mitigation is actions and strategies aimed at reducing or preventing the emission of greenhouse gases and other drivers of climate change. The primary goal of climate mitigation is to limit the extent of global warming and its associated impacts on the environment and human societies. Mitigation efforts encompass a wide range of activities, including transitioning to renewable energy sources, improving energy efficiency, implementing sustainable land-use practices, and adopting policies to reduce emissions from industries and transportation. Climate mitigation is a critical component of global efforts to combat climate change and achieve international climate targets, such as those outlined in the Paris Agreement.

Climate Resilience

Climate Resilience is the capacity of individuals, communities, ecosystems, and systems to withstand and adapt to the adverse effects of climate change while maintaining essential functions. It involves strategies and measures aimed at reducing vulnerability to climate-related risks, enhancing adaptive capabilities, and ensuring the ability to recover from climate impacts. Climate resilience is crucial for safeguarding human well-being, ecosystems, infrastructure, and economies in the face of a changing climate, including extreme weather events, rising temperatures, and sea-level rise.

Climate Sprint

A Climate Sprint is a focused, three-week initiative designed by John Sanchez, aimed at immersing participants in tangible climate projects. It encourages a deep dive into climate solutions through learning, engaging with stakeholders, and team brainstorming towards a specific goal. This structured program offers accountability, collaboration, and a short, impactful timeline for those looking to explore or deepen their involvement in the climate field. John Sanchez, a Harvard undergrad on a gap year dedicated to climate change efforts, founded Climate Sprints to facilitate a hands-on approach to addressing climate challenges.

Co-benefits

Co-benefits associated with carbon reduction efforts are the positive side effects that go beyond addressing climate change. These co-benefits touch various aspects of society and the environment. One of the most notable is improved air quality, as actions to reduce carbon emissions often lead to decreased levels of harmful pollutants, benefiting public health by reducing respiratory illnesses and healthcare costs. Additionally, such efforts often promote energy efficiency, resulting in lower energy consumption, cost savings, and enhanced energy security. The transition to a low-carbon economy can also create jobs, contributing to economic growth. Biodiversity and ecosystems benefit from carbon reduction measures by preserving habitats and reducing resource exploitation. Moreover, these actions enhance community resilience and social equity, ensuring that the advantages of carbon mitigation are shared broadly, especially among marginalized populations. Recognizing these co-benefits underscores the importance of comprehensive climate strategies that yield numerous positive outcomes for society and the environment.

Co-Benefits Climate Sprint

In August 2021, the Climate Sprint focused on the valuation of long-term co-benefits and ecosystem services within climate finance. Participants were tasked with developing methods to identify, rate, and price the additional benefits of carbon projects. The teams worked on integrating these values into climate finance initiatives, aiming to align them with climate, financial, ESG, and impact goals. This Sprint covered areas such as carbon removal, climate adaptation, conservation, emissions reduction, energy transition, and climate justice, targeting a wide range of stakeholders. The final deliverables included a valuation system for co-benefits, a detailed project scope, and a pitch targeting potential investors or participants, designed to demonstrate the project's viability, scalability, and impact. Open to anyone with an interest in climate and conservation finance, the Sprint emphasized practical, scalable solutions for incorporating ecosystem services into climate projects. This Climate Sprint resulted in the Core Benefits Label.

Common Asset Trust

Common Asset Trust is a governance mechanism designed to manage common-pool resources, such as forests, fisheries, or water bodies, in a sustainable and equitable manner. CATs are informed by Ostrom's principles of collective action and self-governance, which emphasize the role of local communities and resource users in making and enforcing rules for resource management.

Common Pool Resources

Common Pool Resources are resources collectively owned or accessed by a group, where one person's use diminishes what's available to others. CPRs include resources like fisheries and forests. Effective management often involves local communities creating rules for sustainable use and distribution, as highlighted by Elinor Ostrom's research.

Conservation Finance

Conservation Finance the strategic and innovative use of financial mechanisms and instruments to support the conservation and sustainable management of natural resources, biodiversity, and ecosystems. This field blends financial strategies with conservation goals to secure funding for initiatives that protect and restore the environment. Conservation finance encompasses a wide range of approaches, including public and private investments, impact investing, environmental markets, eco-tourism, and the development of financial tools like green bonds and payment for ecosystem services programs. The primary objective of conservation finance is to generate sustainable funding streams for conservation efforts while promoting biodiversity conservation, habitat restoration, and the sustainable use of natural resources. It plays a crucial role in addressing pressing environmental challenges and achieving long-term ecological and societal benefits.

Core Benefits Label

Based on the 2021 Co-Benefits Climate Sprint which set out to answer "How can we best value long-term co-benefits and ecosystem services when mobilizing climate finance?", the Core Benefits Label aimed to make the valuation of ecosystem services and co-benefits in climate finance more understandable and actionable. It detailed efforts by a diverse team to value long-term co-benefits for net-zero companies and stakeholders through a "Climate Sprint" approach for rapid, collaborative development. The concept of a "Core Benefits Label," similar to nutrition labels, was proposed to assist investors in identifying climate projects with significant ecological and social impacts, aiming to improve how such projects are evaluated for their broader benefits beyond carbon reduction.

Costanza, Robert

Robert Costanza is a notable ecological economist and environmental scientist who has made significant contributions to the field of ecological economics. His work focuses on the valuation of ecosystem services, the redefinition of traditional economic indicators to include ecological and social dimensions in assessments of well-being, and the promotion of interdisciplinary approaches to address sustainability challenges. Costanza's advocacy for the recognition of natural capital value and his leadership in advancing ecological economics have had a profound impact on the fields of economics, environmental science, and sustainability.

Critical habitat

Any area of the planet with high biodiversity conservation significance, based on the existence of habitat of significant importance to critically endangered or endangered species, restricted range or endemic species, globally significant concentrations of migratory and/or congregatory species, highly threatened and/or unique ecosystems and key evolutionary processes. TNFD; IFC

Cumulative impact

A change in the state of nature (direct or indirect) that occurs due to the interaction of activities of different actors operating in a landscape. TNFD

D

DAO (Decentralized Autonomous Organization)

A DAO operates as a blockchain-based form of organization or company governed by smart contracts, eliminating the need for traditional management structures. DAOs are democratic systems where decisions are made through member voting, ensuring transparency and direct stakeholder control. This structure enables decentralized decision-making and management, making DAOs ideal for collaborative projects, investment funds, and community-led initiatives. DAOs represent a shift towards more open, equitable, and efficient ways of organizing collective efforts and resources.

Dasgupta Review

The Dasgupta Review, officially titled the "Review on the Economics of Biodiversity," is a comprehensive report led by economist Sir Partha Dasgupta and published in 2021. Commissioned by the UK government, it assesses the economic implications of biodiversity loss and the decline of natural capital. This review underscores the profound connection between nature, economics, and human well-being. It emphasizes the vital role of natural capital, which includes ecosystems and biodiversity, as one of the three types of capital crucial for economic prosperity, alongside human capital and produced capital. The report highlights that the degradation of natural capital poses significant risks to economies and societies globally. Key takeaways from the Dasgupta Review include the urgent need to account for natural capital in economic decision-making, adopt sustainable economic models, and prioritize investments in nature conservation and restoration. By recognizing the value of nature as a vital component of our economic infrastructure, the review calls for transformative changes in how we perceive, manage, and invest in natural resources.

de Groot, Rudolph

Rudolph de Groot is a notable figure in the field of ecosystem services and environmental economics. He is recognized for his contributions to the valuation and assessment of ecosystem services and for promoting their integration into decision-making processes. De Groot's work focuses on assigning economic values to the benefits provided by natural ecosystems and advocating for the incorporation of ecosystem service assessments into land use planning, policy development, and resource management. His interdisciplinary approach and leadership have influenced the understanding of the ecological and economic dimensions of environmental challenges, with practical applications in environmental management, conservation, and sustainable development.

DeFi

DeFi stands for Decentralized Finance, a blockchain-based financial system that offers traditional financial services such as lending, borrowing, trading, and asset management without relying on traditional intermediaries like banks. Instead, it utilizes smart contracts and decentralized applications (dApps) to enable peer-to-peer transactions, making financial services more accessible, transparent, and open to a global audience. DeFi has gained prominence in the cryptocurrency space for its potential to disrupt traditional finance and increase financial inclusion.

Dependencies

Aspects of ecosystem services that an organisation or other actor relies on to function. Dependencies include ecosystems' ability to regulate water flow, water quality, and hazards like fires and floods; provide a suitable habitat for pollinators (who in turn provide a service directly to economies), and sequester carbon (in terrestrial, freshwater and marine realms). TNFD; SBTN

Dependency pathway

A dependency pathway shows how a particular business activity depends upon specific features of natural capital. It identifies how observed or potential changes in natural capital affect the costs and/or benefits of doing business. TNFD; Natural Capital Protocol

Direct impacts

A change in the state of nature caused by a business activity with a direct causal link. TNFD

Drivers of nature change

All external factors that affect nature, anthropogenic assets, nature's contributions to people and good quality of life. They include institutions and governance systems and other indirect drivers, and direct drivers (both natural and anthropogenic). TNFD; IPBES

E

Ecocredit

In the Regen Network, an "ecocredit" represents a digital certificate issued for specific ecosystem services, such as carbon sequestration or biodiversity conservation, verified by the network. These credits are created to incentivize and quantify ecological regeneration and conservation efforts. They can be bought, traded, and retired by individuals and organizations looking to offset their carbon footprint, invest in sustainable practices, or meet climate commitments. The system provides a transparent, blockchain-based platform for valuing and transacting in ecosystem services, contributing to global environmental sustainability goals.

Ecological / habitat connectivity

The degree to which the landscape facilitates the movement of organisms (animals, plant reproductive structures, pollen, pollinators, spores, etc.) and other environmentally important resources (e.g. nutrients and moisture) between similar habitats. Connectivity is hampered by fragmentation. TNFD; IPBES

Ecological Economics

Ecological economics is an interdisciplinary field that integrates principles from economics and ecology to address sustainability challenges. It emphasizes long-term well-being, recognizes the interconnectedness of economic and ecological systems, values ecosystem services, considers ethical and social aspects, and provides guidance for sustainable resource management and environmental policy development. Ecological economics aims to balance economic goals with the preservation of finite natural resources and ecosystems.

Ecosystem

A dynamic complex of plant, animal and microorganism communities and the non-living environment, interacting as a functional unit. CBD; IPBES; TNFD

Ecosystem Accounting

Ecosystem accounting is a specialized form of environmental accounting that focuses on the measurement and valuation of ecosystem services provided by natural ecosystems. It involves systematically assessing the contributions of ecosystems to the economy and human well-being. Ecosystem accounting quantifies the various benefits that ecosystems offer, such as clean water, pollination, carbon sequestration, and habitat provision. By integrating this information into economic frameworks, ecosystem accounting helps policymakers and businesses make informed decisions that balance economic development with the sustainable use and conservation of ecosystems.

Ecosystem Asset

A form of environmental assets that relate to diverse ecosystems. These are contiguous spaces of a specific ecosystem type characterised by a distinct set of biotic and abiotic components and their interactions. SEEA; TNFD

Ecosystem Condition

The quality of an ecosystem measured by its abiotic and biotic characteristics. Condition is assessed by an ecosystem's composition, structure and function which, in turn, underpins the ecological integrity of the ecosystem, and supports its capacity to supply ecosystem services on an ongoing basis. SEEA; TNFD

Ecosystem function

The flow of energy and materials through the biotic and abiotic components of an ecosystem. This includes many processes such as biomass production, trophic transfer through plants and animals, nutrient cycling, water dynamics and heat transfer. TNFD; IPBES

Ecosystem health

Used to describe the condition of an ecosystem, by analogy with human health. Note that there is no universally accepted benchmark for a healthy ecosystem. Rather, the apparent health status of an ecosystem can vary, depending upon which metrics are employed to assess it and which societal aspirations are driving the assessment. TNFD; IPBES

Ecosystem Services

The contributions of ecosystems to the benefits that are used in economic and other human activity. SEEA; TNFD

Ecosystem Services Value (ESV)

ESV represents the assessed worth, whether in monetary or non-monetary terms, assigned to the advantages supplied by ecosystems to human well-being and the environment. ESV encompasses an array of services delivered by ecosystems, including clean water provision, pollination, climate regulation, and cultural or recreational experiences. RealValue is based on ESV's.

Ecosystem Type

Ecosystem type refers to a specific category or classification of ecosystems based on common ecological characteristics, such as vegetation, climate, and predominant species composition. These classifications help scientists, conservationists, and policymakers understand and describe different types of ecosystems, their functions, and their role in the environment. Ecosystem types may include forests, grasslands, wetlands, deserts, and aquatic ecosystems, among others. Categorizing ecosystems into types aids in the study, management, and conservation of natural environments by providing a framework for analysis and decision-making.

Ecotone

Ecotones are places where ecosystems grade into each other along a gradient in one or more resources or environmental controls. A typical example is the transition from forest to grassland on a gradient of moisture availability. The precise location of ecosystem types, and hence the ecotones between them is ultimately subjective. Where these gradients are very gentle, ecotones can occupy quite extensive areas. The translation of gradients and ecotones on ecosystem classification will depend on the nature and ‘sharpness’ of the transition, and the scale of application. SEEA EA

Endangered Species

Species considered to be facing a very high risk of extinction in the wild. IUCN; TNFD

Environmental Accounting

Environmental accounting is a specialized field that integrates environmental data and indicators into economic accounting frameworks. It systematically measures and quantifies the interactions between the environment and the economy. Environmental accounting assesses the value of natural resources, monitors environmental assets, analyzes the environmental impacts of economic activities, and informs sustainable development and resource management decisions.

Environmental Asset

The naturally occurring living and non-living components of the Earth, together constituting the biophysical environment, which may provide benefits to humanity. SEEA; TNFD

EVM (Ethereum Virtual Machine)

A core component of the Ethereum blockchain, the EVM is a decentralized virtual computing engine enabling the execution of smart contracts. It allows for applications to run exactly as programmed without downtime, censorship, fraud, or external interference, in a secure and isolated environment. Smart contracts, written in high-level programming languages, are compiled into bytecode executed by the EVM across the decentralized Ethereum network, ensuring integrity and security of operations.

ERC-1155

ERC-1155 is a remarkably versatile Ethereum token standard that revolutionizes the world of digital assets by combining the features of both fungible and non-fungible tokens (NFTs), including Semi-Fungible Tokens (SFTs), within a single smart contract. This innovative standard, introduced as an Ethereum Improvement Proposal (EIP), empowers developers to craft a diverse range of tokens, including unique, one-of-a-kind items (NFTs), tokens with partial fungibility (SFTs), and fully interchangeable tokens (FTs), all coexisting harmoniously within a unified smart contract. In practical terms, ERC-1155 offers unparalleled adaptability and efficiency, making it exceptionally well-suited for applications and games where users engage with a wide array of assets. Some of these assets possess individual uniqueness and value (NFTs), some exhibit partial fungibility for specific use cases (SFTs), while others can be readily exchanged like traditional currencies (FTs). By consolidating these token types into a single smart contract, ERC-1155 streamlines operations, reduces gas consumption, and enhances the overall performance of decentralized applications. This groundbreaking standard has gained widespread acclaim in blockchain-based gaming, digital collectibles platforms, and beyond. ERC-1155 fundamentally transforms the landscape of digital asset management on the Ethereum blockchain, fostering the creation of intricate, dynamic token ecosystems that cater to a multitude of use cases within the burgeoning NFT ecosystem.

ERC-721

ERC-721 is a standard for non-fungible tokens (NFTs) on the Ethereum blockchain. NFTs are unique digital assets representing ownership or proof of authenticity of specific items or digital content, such as digital art, collectibles, virtual real estate, and more. Unlike cryptocurrencies like Bitcoin or Ethereum, which are fungible and interchangeable, each ERC-721 token is distinct and cannot be exchanged on a one-to-one basis with other tokens. ERC-721 tokens have gained widespread use in blockchain-based applications and platforms that require secure and transparent management of ownership and provenance for digital or physical assets. They have fueled the growth of the NFT market, enabling the creation, trade, and ownership verification of a diverse array of unique digital assets.

ESRI

ESRI, or the Environmental Systems Research Institute, is a prominent global provider of geographic information system (GIS) software, tools, and solutions. ESRI's GIS technology is widely used in various industries, including environmental management, urban planning, natural resource conservation, and more. Their software, such as ArcGIS, enables organizations to capture, analyze, and visualize spatial data to make informed decisions and solve complex spatial problems. ESRI plays a crucial role in advancing the use of geospatial technology for understanding and addressing environmental and geographical challenges.

ESVD

The ESVD, short for Ecosystem Services Valuation Database, is a resource that compiles information related to the valuation of ecosystem services. It encompasses over 4,000 studies and data sources that quantify the economic and non-economic values provided by ecosystems, helping researchers, policymakers, and stakeholders better understand and assess the importance of these services for decision-making and sustainable resource management.

Ethereum

Ethereum is a decentralized blockchain platform known for its smart contract capabilities and decentralized applications (dApps). It uses Ether (ETH) as its native cryptocurrency. Ethereum's programmable environment enables the creation of trustless, automated agreements (smart contracts) and various decentralized applications. It's a fundamental technology in DeFi, NFTs, and the broader blockchain ecosystem.

Externalities

Externalities are a key concept in economics and refer to the unintended effects of economic activities that spill over to impact individuals or groups who were not directly involved in those activities. These effects can be either positive or negative. Negative externalities, such as environmental pollution or noise disturbances from industrial operations, impose costs on society, often without the responsible parties fully accounting for them. Conversely, positive externalities, like education or healthcare, can provide benefits to society beyond those directly participating. Externalities can lead to market inefficiencies, as they are not reflected in the prices of goods or services, prompting the need for government intervention through regulation, taxation, or incentives to correct these market failures and promote more equitable and sustainable outcomes for both individuals and the broader community.

F

G

GICS (Global Industry Classification Standard)

Developed jointly by MSCI and Standard & Poor's, GICS is a comprehensive industry classification system that categorizes companies into sectors, industry groups, industries, and sub-industries. It is widely used in the financial sector for portfolio management, research, and market analysis.

H

Half Earth

The "Half Earth" concept, proposed by biologist E.O. Wilson, suggests that to safeguard Earth's biodiversity and ecological health, we should set aside and protect at least half of the planet's terrestrial and marine ecosystems for conservation purposes. The idea is to designate these areas as protected reserves, free from significant human interference, to preserve a wide range of species and their habitats. By dedicating 50% of the Earth's land and oceans to conservation, the "Half Earth" concept aims to mitigate the ongoing loss of biodiversity, protect ecosystems, and ensure the long-term survival of countless species. This ambitious goal underscores the importance of prioritizing conservation efforts and adopting sustainable practices to address the interconnected challenges of biodiversity loss and habitat degradation.

I

ICB

see ICB

ISIC 4

see ISIC 4

Instrumental Value

associated with an entity that serves to achieve a human end, interest or preference. Instrumental value includes economic values, regardless whether the entity is directly or indirectly used, or not used (existence and bequest values). IPBES (2019), Global assessment report of the Intergovernmental Science-Policy Platform on Biodiversity and Ecosystem Services, Brondízio, E. S., Settele, J., Díaz, S., Ngo, H. T. (eds). IPBES secretariat, Bonn, Germany. 1144 pages. ISBN: 978-3-947851-20-1

Intrinsic Value

the value of an entity (e.g., an organism, an ecological process) independent of how it relates to humans. IPBES (2019), Global assessment report of the Intergovernmental Science-Policy Platform on Biodiversity and Ecosystem Services, Brondízio, E. S., Settele, J., Díaz, S., Ngo, H. T. (eds). IPBES secretariat, Bonn, Germany. 1144 pages. ISBN: 978-3-947851-20-1

J

K

L

M

N

NACE Rev. 2 (Statistical Classification of Economic Activities in the European Community)

NACE Rev. 2 is the European standard for classifying economic activities, offering a system to categorize entities based on their business operations. It is essential for statistical analysis, policy-making, and economic studies within the EU.

NAICS

see NAICS

O

Ostrom, Elinor

Elinor Ostrom was a distinguished American political economist and scholar known for her groundbreaking work on the governance of common-pool resources and collective action. In 2009, she was awarded the Nobel Prize in Economic Sciences for her pioneering research in this field. Ostrom's work challenged the traditional view that common-pool resources are prone to overuse and depletion, demonstrating that communities can effectively manage shared resources through self-governance and cooperation. Her research highlighted the importance of local knowledge, well-defined rules, and social institutions in achieving sustainable resource management. Elinor Ostrom's work has had a profound impact on the fields of environmental economics, resource management, and sustainable development.

P

Q

R

Relational Value

the meaningfulness of relationships, including the relationships among humans and nature and among humans, including across generations, via nature (Chan et al., 2016). These values are attached to the entity itself in ways that make it not substitutable, hence not serving an instrumental or utilitarian perspective (O’Neill, 2017), and represent what people consider meaningful about nature (e.g., attachment, responsibility, commitment). Relational values can also be associated with relationships with nature towards achieving a good life, e.g., when choosing “the right thing to do” or in the context of a “meaningful life.” (Pascual et al., 2017). IPBES (2019), Global assessment report of the Intergovernmental Science-Policy Platform on Biodiversity and Ecosystem Services, Brondízio, E. S., Settele, J., Díaz, S., Ngo, H. T. (eds). IPBES secretariat, Bonn, Germany. 1144 pages. ISBN: 978-3-947851-20-1

RWA x ReFi Report

Funded by the Climate Collective, this report delves into merging Real World Assets (RWA) with Regenerative Finance (ReFi) to foster ecological and social impacts via web3 and blockchain technologies. It outlines the potential for a new regenerative asset ownership and governance system, confronting legal, technological, and financial hurdles. Advocating for open-source development, legal clarity, and active community engagement, it highlights key contributors to the evolving RWA and ReFi landscape. Published on February 16th, 2023, it is available under the CC BY-SA 4.0 license. More details on the project: RWA x ReFi

S

SASB (Sustainability Accounting Standards Board

SASB provides industry-specific standards for reporting sustainability information relevant to financial performance. It identifies sustainability topics that are likely to affect financial condition or operating performance and provides standardized disclosure recommendations.

SEED Biocomplexity

A standardized biodiversity index developed by Crowther Lab at ETH Zürich, measuring the complexity of nature on a 0-1 scale. It evaluates Genetic diversity within species, Species diversity between species, and Ecosystem diversity across ecosystems. This framework provides a comprehensive approach to quantify and assess the global biodiversity, facilitating informed decision-making for conservation, restoration, and sustainable management of natural resources by comparing biocomplexity against reference ecosystems to understand ecological health impacts.

Stacking

Stacking refers to the practice of accumulating various funding sources or payments from different stakeholders to support a specific ecosystem service or environmental benefit. It involves aggregating financial incentives to enhance the financial sustainability of conservation or restoration projects, allowing for more substantial environmental outcomes. Stacking Example: A forest conservation project secures funding from various sources: a government for carbon sequestration, a foundation for biodiversity, and a water utility for water purification. Related: Bundling